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How do I assess the quality of factoring companies?

Making your choice

There are many different factoring companies to choose from in the UK and the service levels, rates and fees can vary widely from one factoring company to another. To ensure the quality of the factoring company you choose to work with you shold check that they are a member of ABFA (the trade association for UK invoice finance and asset based lending), as being a member ensures compliance with strict industry codes of conduct. ABFA can also supply information into a factor’s trading history and reputation. You may also wish to seek out recommendations from other businesses in the same industry or seek independent advice.

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